German mobile operator MobilCom, which is in the middle of a well-publicized dispute with business partner and second-largest shareholder France Telecom, has been holding talks with the regional government of its home state, Schleswig-Holstein.
While MobilCom CEO Gerhard Schmid and state economics minister Bernd Rohwer both refused to comment on the talks, there are concerns in the industry over the company’s ability to repay or refinance E4.7 billion in loans, which are due in July. The state government owns 25% of local bank Landesbank Schleswig Holstein.
The Landesbank has said it does not want to give MobilCom financial help if relations with France Telecom worsen still further. However, several local politicians have said they would support a future rescue bid.